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Coin exchange that has ended trading in won “Reduced to 1/20 of the transaction amount”

gopax

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(Seoul = Yonhap News) Reporter Han Hye-won = Domestic virtual currency exchanges, where the KRW transaction (market) has been terminated due to failure to secure a real-name deposit and withdrawal account (real-name account) at the bank, are continuing their coin market operations with significantly reduced transaction value on the 27th.

On the 24th, after the deadline to report virtual asset operators in accordance with the Specific Financial Information Transaction Act (Special Act) expired, only four places that could operate the KRW market were Upbit, Bithumb, Coinone, and Korbit.

In other exchanges, the trading value has shrunk sharply compared to before the Special Act.

An official from Gopax said, “Currently, the daily trading amount is not even 1/20 of what it was before the Special Payment Act.”

A Huobi official also said, “Compared to before, the transaction amount was practically halved.”

Even if the KRW market is closed, the coin market, which trades other coins with coins, operates normally, but it is interpreted that there are many people who withdraw their investment funds first due to the negative perception that they did not secure a real-name bank account.

An official from a cryptocurrency exchange said, “Some investors understand that the coin market and the KRW market are separate, but most new investors are worried that if the KRW market disappears, their own virtual currency will also disappear.” If it is difficult, there are many cases where they decide not to do the transaction itself,” he said.

An official from this official explained, “It seems that new investors, who came in a lot when the cryptocurrency market was active in March and April of this year, especially withdrew a lot of funds out of anxiety.”

In addition, on the 24th, the People’s Bank of China, the central bank of China, defined all kinds of virtual currency transactions as “illegal financial activities” and announced a strong crackdown.

This adversely affected the entire domestic and foreign cryptocurrency market, leading to a drop in prices and a contraction in transactions.

The domestic price of Bitcoin, which was in the 58 million range on the 20th, fell to the lowest level of 52 million won on the same day.

Exchanges that have not secured a real-name bank account are still trying to secure an account, announcing that they have ‘suspended’ the KRW market.

Coin exchange Gdac announced in the announcement, “To resume the KRW market, we will complete the acquisition of a real-name account and announce it as soon as possible.”

ProBit also announced, “Even after reporting as a coin market operator, we will continue to make efforts to resume the KRW market.”

Exchanges that have been certified by the Information Security Management System (ISMS) can later secure a real-name bank account and report the change, then go through a review by the authorities and resume the operation of the KRW market.

hye1@yna.co.kr